Datadog- The pitbull of data analysis or just 3rd class after all
Company presentation
Datadog and Dynatrace are two of the leading companies in the field of cloud monitoring and observability solutions.
$DDOG (-2,58%) Datadog, founded in 2010 and based in New York City, offers a SaaS-based data analytics platform that monitors a wide range of IT infrastructure components - from servers and databases to tools and services - across a cloud environment.
$DT (-2,07%) is also an American company that specializes in software intelligence platforms. It provides comprehensive solutions for monitoring application performance, infrastructure and user experience.
Historical development
Datadog has experienced impressive growth since its foundation:
- 2015: Completion of a Series C financing round that supported expansion into new markets and further development of the product range.
- Continuous expansion of the platform, especially log management and application performance monitoring
- 2020: Acquisition of Undefined Labs to strengthen testing and observability capabilities.
Dynatrace has also undergone a remarkable development, although concrete milestones are not specified in the available information.
Business model and core competencies
Datadog:
- Offers a cloud-based platform for comprehensive monitoring.
- Core competencies: Infrastructure monitoring, application performance monitoring, log management, user experience monitoring and security monitoring.
- Focuses on continuous innovation and customization.
Dynatrace:
- Provides a comprehensive end-to-end observability solution.
- Core competencies: Unified platform for observability, security and business data.
- Focuses on automated provisioning and AI-supported analyses.
Future prospects and strategic initiatives
Both companies focus on continuous innovation and the expansion of their product portfolios in order to meet rapidly changing technologies and customer requirements.
Datadog has accelerated the development of new products and doubled the number of its paid solutions within the last year.
Dynatrace is focused on further developing its AI-powered analytics tools and optimizing the automated deployment of its solutions.
Market position and competition
In a dynamic and highly competitive market in which companies such as $SPLK (in the $CSCO (-0,04%) acquisition), New Relic, Elastic and Hyperscaler are also active, both companies are competing for the leading position.
Datadog is recognized as the market leader for its integrated full-stack monitoring solutions.
Dynatrace is positioned as a leader in end-to-end observability with a particular focus on AI-powered solutions.
Market potential (Total Addressable Market, TAM)
Although exact TAM figures are not provided, it is clear that both companies are operating in a rapidly growing market for cloud monitoring and observability solutions, which is being driven by the increasing digital transformation in various industries.
Share performance
Datadog:
- 1-year performance: 5.7%
- TR since the IPO on 19.09.2019:186.83%
- Currently 19.90% below the 52-week high and 45.61% above the 52-week low.
- 84% of analysts recommend the share as a buy (60% "Strong Buy", 24% "Buy").
Dynatrace:
- 1-year performance: 5, %
- TR since the IPO on 01.08.2019 : 113.42%
- Currently 16.99% below the 52-week high and 28.76% above the 52-week low.
- 77 % of analysts recommend the share as a buy (57 % "Strong Buy", 20 % "Buy").
Despite short-term fluctuations, both companies are performing positively overall.
Development
